Vietnam Poised for Growth in Low-Emission Industrial Gas Market

Vietnam is focusing on developing its low-emission industrial gas market as a critical component of enhancing energy security and economic competitiveness. Dr. Nguyen Van Tu, General Director of the Vietnam Petroleum Institute (VPI), emphasized that genuine energy security requires a layered defense, not just relying on petroleum reserves. The government mandates state agencies and businesses to develop energy-saving plans, set key performance indicators (KPIs) on energy efficiency, establish energy consumption benchmarks, and tighten technical standards and regulations in production and export. Nguyen Son Tung, an investor at M&G Investments (UK) and co-founder of the Vietnam Finance and Investment Association in the UK (VIFA), noted that Vietnam views energy security not merely as a technical issue, but as a prerequisite for increasing its economic competitiveness and attracting long-term capital. This strategic focus is crucial for Vietnam's sustained economic growth and its integration into the global economy. The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) has evolved beyond tariff reductions into a broad framework covering goods, services, investment, and digital trade. Its success ultimately depends on businesses' ability to translate commitments into new investments, stronger supply chains, and innovative business models. Vietnam aims to leverage such international agreements and cultivate its low-emission industrial gas market as a new growth engine. Developments in infrastructure, such as the successful premium Hoa Phuong Do (Flamboyant Flower) train service between Hanoi and Hai Phong city and the expected increase in passenger traffic at Lien Khuong Airport after upgrades, also indicate a vibrant economic landscape. Furthermore, Hanoi's efforts to strengthen its semiconductor ecosystem are creating a new growth driver for both the capital and the country, enhancing Vietnam's technological capabilities and paving the way for deeper integration into the global semiconductor value chain. Amidst persistent global commerce uncertainty, the government is implementing a broad range of measures to strengthen export growth. These include expanding overseas markets through economic diplomacy, maximizing benefits from free trade agreements (FTAs), streamlining administrative procedures, reducing logistics costs, improving access to credit, and assisting businesses in overcoming trade barriers. Authorities are also encouraging deeper processing, official cross-border exports, and greater market diversification to enhance the competitiveness of Vietnamese products. In the new energy economy, value will increasingly come not only from underground resources but also from technology, data, infrastructure, operational capabilities, and supply chain connectivity. This shift underscores the importance of investing in advanced industrial solutions and sustainable practices. Dezhou Municipal People’s Government in China is also actively tightening its links with ASEAN, viewing Vietnam as a key partner. This regional cooperation highlights the interconnectedness of economies in Southeast Asia and the potential for shared growth. Central Retail's contributions to trade promotion programs and efforts to connect Vietnamese goods with consumers were highly praised, urging the group to continue developing initiatives to promote and build brands for Vietnam’s key products. This focus on branding and market access is vital for Vietnamese exporters. Türkiye's target of lifting total exports of goods and services to more than 400 billion USD in 2026 could create additional opportunities for Vietnamese agricultural products, food, and beverages, according to Ta Manh Cuong, director of the Trade and Investment Promotion Support Centre. This signals potential for bilateral trade expansion. Vietnam has a high level of crypto asset adoption, presenting significant opportunities for innovation while demanding greater oversight and risk management, according to Diederik Van Wersch, Chainalysis' ASEAN Regional Director. This highlights the evolving digital landscape and the need for regulatory frameworks. Customs data showed Vietnam exported 1.7 million tonnes of fertilizer worth 933 million USD in the first six months of the year, marking year-on-year increases of 52% in volume and 107% in value. This surge in fertilizer exports indicates strong agricultural sector activity and global demand. A Czech diplomat described the arrival of the first container as a successful outcome of a long market-opening process involving years of negotiations and cooperation between Czech and Vietnamese authorities. This signifies progress in bilateral trade relations and market access for Czech products. HSBC Vietnam reported that Vietnam's economy has built a relatively favorable position in the first six months of the year with GDP expanding 8.18% – the highest first-half growth rate in recent years – as key growth drivers have operated in tandem. This robust growth underscores Vietnam's economic resilience and potential. QTSC and the Singapore Semiconductor Industry Association (SSIA) signed a memorandum of understanding (MoU) to connect Vietnam's semiconductor ecosystem with Singapore's semiconductor business network and the wider region. This collaboration is crucial for advancing Vietnam's capabilities in the high-tech sector and integrating it into regional and global value chains. The State Bank of Vietnam set the daily reference exchange rate at 25,260 VND/USD on July 22, unchanged from the previous day. This stability in the exchange rate is important for business planning and investment. The campaign to enhance public awareness, increase patrols and inspections, and prevent illegal fishing activities while protecting marine resources and ensuring no local fishing vessels violate foreign waters is crucial for sustainable resource management and international relations. After August 19, Lien Khuong Airport is expected to handle an average of 36–40 flights and around 6,800 passengers per day, nearly 1,000 more than before its temporary closure for repair and upgrade since March. This indicates a recovery and growth in domestic and international travel. Paul Geaney, President and Chief Commercial Officer of Avolon, noted that among the region’s top 10 aviation markets, Vietnam recorded the fastest growth over the past decade, with a remarkable increase of 121%, which he described as extraordinary. This rapid aviation growth is a strong indicator of economic expansion and increased connectivity. Copyright, VietnamPlus, Vietnam News Agency (VNA). Editor-in-chief, Mr. Tran Tien Duan.